GLOBAL CCUS DEVELOPMENTS2014 EOR CARBON MANAGEMENT WORKSHOP – MIDLAND, TEXASNeil Wildgust9th December 2014

The Global CCS Institute

We are an international membership organization.

Headquarters in Melbourne.

Regional offices serving the Americas, Europe-Africa-Middle East, and Asia Pacific.

Our diverse international membership consists of:

o governments,

o global corporations,

o small companies,

o research bodies, and

o non-government organisations.

Specialist expertise covers the CCS/CCUS value chain.

OUR MISSIONTo accelerate the

development, demonstration and deployment of CCS

globally.

OUR MISSIONTo accelerate the

development, demonstration and deployment of CCS

globally.

1Authoritative knowledge

sharing

1Authoritative knowledge

sharing 2Fact-based, influential

advice and advocacy

2Fact-based, influential

advice and advocacy

3Create

favorable conditions to implement

CCS

3Create

favorable conditions to implement

CCS

Climate Change – Geoscience Perspective

• Atmospheric CO2 at 400ppm level – last observed 3 million years ago

• Research continues to link past climate variations and greenhouse gas concentrations

• Ice core records

• Deep ocean sediments

• Geoscience position statements:• http://www.geosociety.org/positions/pos10_climate.pdf

• http://www.geolsoc.org.uk/climaterecord

• Ocean acidification

3

CCUS is vital to meet reductions

Source: IEA Energy Technology Perspectives (2014)

We must accelerate the pace of transforming energy infrastructure

Gt C

O2

emis

sion

s

150 GT stored 3000 CCS projects

Investment will follow if there is alignment

Data source: Bloomberg New Energy Finance as shown in IEA presentation “Carbon Capture and Storage: Perspectives from the International Energy Agency”, presented at National CCS week in Australia, September 2014.

Clean energy investment between 2004-2013USD billion

• Scale of renewables investment is instructive

• CCS has not enjoyed commensurate support

• EOR has provided impetus in North America

• Parity is essential

• How do we get CCUS to be a bigger part of clean energy investment?

The Global Status of CCS: 2014

The Global Status of CCS: 2014 – Key Institute publication

This year’s report:

Provides a comprehensive overview of global and regional developments in large-scale CCS projects, in CCS technologies and in the policy, legal and regulatory environment.

Introduces and links to project descriptions for around 40 lesser scale ‘notable’ CCS projects.

Makes recommendations for decision makers.

The full report is available online, including supporting resources and data

http://www.globalccsinstitute.com/

Large-scale CCUS projects by region and phase

North America, China and UK (with 5) have the most projects

North America 5 6 6 9 26

Early planning

Advanced planning Construction Operation Total

China 8 4 - - 12

Europe/UK 2 4 - 2 8

Gulf Cooperation Council - - 2 - 2

Rest of World 4 - 1 2 7

Total 19 14 9 13 55

Large-scale CCS projects by project lifecycle and year

22 projects in operation or under construction – 8 more than in 2011

CO2 capture capacity by actual or expected year of operation

CCUS is a reality with 40 MTpa of CO2 that can be captured by active projects

3 GT cumulative over 30 years

Large-scale CCS projects by region, type and phase: 2011 vs. 2014

Majority of projects in operation, construction or close to FID use or intend to use CO2 for EOR

Actual and expected operation dates for projects in

2014-2015 is a watershed period for CCS – it is a reality in the power sector and additional project approvals are anticipated

Operating 20172016

Hydrogen production

Natural gas processing

Chemical production

Iron and steel production

Synthetic natural gas

Fertiliser production

Oil refining

2018 2019 2020

= 1Mtpa of CO2 (areas of circle are proportional to capacity)

Coal-to-liquids

* Injection currently suspended

Boundary Dam

Medicine Bow

Kemper Petra Nova

ROAD

Sargas Texas

Sinopec Shengli

TCEP Peterhead

White Rose

HECA

Don Valley

Illinois Industrial Yanchang

Sinopec Qilu

Abu Dhabi

ACTL Agrium Coffeyville

Century Plant

Enid Fertilizer

Val Verde

Air Products

Lost Cabin

Lula

SnøhvitSleipner

Shute Creek

In Salah*

Uthmaniyah

Quest

Gorgon Spectra

ACTL Sturgeon

Petro China Jilin

Great Plains

FutureGen 2.0

operation, construction and advanced planning

Boundary Dam CCUS opening is an important milestone for 2014

Storage and CO2 -EOR

Anthropogenic CO2 can be securely stored by EOR

CCUS called out as part of US-China clean energy agreement

• Included in the agreed upon measures:

Advancing Major Carbon Capture, Utilization and Storage Demonstrations:

Establishment of a major new carbon storage project based in China through an international public-private consortium led by the United States and China to intensively study and monitor carbon storage using industrial CO2 and also work together on a new Enhanced Water Recovery (EWR) pilot project to produce fresh water from CO2 injection into deep saline aquifers;

CCUS PROJECTS IN CHINA

Project Start Capture CO2 Mt/annu

m

Storage

Sinopec Qilu 2016 Gasification 0.35 – 0.5EOR

(Shingli Oil Field)Sinopec Shengli

2017 Post-combustion coal power

1.0

Shaanxi Yangchang

2016 Gasification 0.46 EOR (Ordos Basin)

Petrochina Jilin

2016 Natural Gas processing

0.8 EOR (Jilin Oil Field)

Greengen 2015 Gasification 0.06 – 2.0 EOR & Saline

OTHER REGIONAL CO2-EOR INTEREST

• Mexico – GCCSI working with APEC and World Bank

• Brazil – Petrobras Lula Oilfield– National CCS Atlas

• Middle East– Uthmaniya (Ghawar Oil Field)– Abu Dhabi (ADNOC Oil Field)

• Trinidad

Our call to action for 2015

It is time to move the agenda forward:

CCS in the power sector is now a reality

We now have 50% more projects than at the start of the decade

Next generation CCS needs decisions now

We must all take today’s messages and promote CCS

Challenge is not technology – it is policy and support

CCS community must build on recent successes

17

OUR CALL TO ACTION IS TO ACCELERATE CCS AROUND THE WORLD

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